EV Market Prices Move Toward Affordable

EVs heading into price ranges fit for mass adoption

Saul Elbein, June 7, 2022 (The Hill)

“Electric vehicles (EVs) are falling into the price range where experts say mass adoption can happen — and partially electrified hybrids are already there…But meeting the Biden administration’s decarbonization goals will require added support for new supply chains and sources of key materials, in addition to a coordinated approach to a national charging network, experts said…Lithium-ion battery prices are falling about 9 percent per year, and the cost of all cars is rising due to a combination of inflation, supply chain disruptions and the proliferation of new high-tech standard components such as backup cameras, blind spot sensors and lane assist…

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That means luxury and mid-range electric vehicles are already similar in price to their fossil fuel-powered counterparts…The average price of a new car was about $47,000 at the start of the year…[Prices are similar for many] new EVs…as lithium battery technology follows the pattern set by laptop computers, cellphones and flat-screen TVs: expensive luxury items that gradually filter down to the mainstream… [R]esearch shows that most customers are looking for vehicles in a crucial $30,000 to $50,000 sweet spot…

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The good news is that the Biden administration, numerous state governments and all the major carmakers are now spending big to modernize their battery technology, find new sources of critical materials and increase the scale of their production chains…One key roadblock to domestic production, however, is the limited domestic production of key battery minerals — a supply chain largely controlled by China…[That could be alleviated by proposed lithium] mining projects in California’s briny Salton Sea, where General Motors has invested millions…" click here for more

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